Brown asks Govt to fix glitch that affects rates

Auckland Mayor Len Brown. Photo / Doug Sherring

Local Government Minister Nick Smith is being asked to iron out a glitch in the new Super City rating system or condemn 190,000 households to rates increases of more than 10 per cent in July.

Households in National electorates such as Epsom, Auckland Central, Tamaki, North Shore, Northcote and East Coast Bays face some of the biggest increases from the Government-imposed directive for a single rating system for the Super City.

Mayor Len Brown is proposing an overall rates increase of about 3.6 per cent, but merging the rating systems of the eight former councils into a single system means many households will receive much bigger increases while others receive big decreases.

Mr Brown has written to Dr Smith asking for some minor legislative changes to smooth out the changes so no ratepayers get an increase or decrease greater than 10 per cent.

In the letter, Mr Brown said the Government agreed that provision needed to be made in the Super City legislation to protect ratepayers from sudden and significant rates increases and ways of spreading the change over three years.

He said the combined effect of the council's computer system and legislation meant moving to the single system was less than ideal and required minor legislative change.

Dr Smith, who is seriously worried about rising rates by councils, could not be reached for comment.